Lacy Corporation sells equipment and a building during the current year. The equipment, which cost $14,000 in 2008, is sold for $9,000. The equipment was expensed using the Section 179 election in 2008. The building, purchased in 2003 for $130,000, is sold for $180,000. The adjusted basis of the building at the date of sale is $95,000. How should Lacy report the gains on the sale of the equipment and the building?